U.S. Rep. Karen Handel (R-Roswell), who represents East Cobb in the 6th Congressional District of Georgia, was among those lawmakers voting for major tax legislation on Tuesday.
Georgia’s two Republican senators, Johnny Isakson of East Cobb and David Perdue of Macon, voted with the majority in a 51-48 passage of the Tax Cuts and Jobs Act early Wednesday morning.
The $1.5 trillion measure was sent back to the House this morning for a revote because of minor provisions ruled to have violated Senate rules, but passage is expected a second time. The House vote on Tuesday was 227-203, and as in the Senate, went mainly along party lines.
Democrats decried the bill as tax cuts for the wealthy and for major corporate interests that would significantly add to the national debt. Republicans hailed the first major overhaul of the tax code in nearly 30 years as beneficial for job creation and the middle class.
The bill calls for a wide variety of tax cuts for individuals and businesses and eliminates tax deductions in a number of categories. Individual taxpayers will see the doubling of their standard deductions and the doubling of the child tax credit, while general corporate tax rates will be reduced across the board.
On the Senate floor, Isakson said that:
“When you take a risk, at the end of that rainbow is a reward. And in the case of risking lower taxes, the greater reward is more jobs, more opportunity, and a better America for our children and our grandchildren.”
Here’s his full statement.
Perdue said:
“This is an historic achievement. These changes to the tax code mean greater job opportunities, more capital at work in our economy, and more money back in the pockets of middle-class American families.”
Handel, who was elected in June to succeed Tom Price, issued the following statement after one of her first major votes as a member of Congress:
“This is a historic moment. The provisions of this tax cut bill will be transformative for hardworking American families and American companies, especially our small businesses.
“More than half of Americans currently live paycheck to paycheck. In the end, the Tax Cuts and Jobs Act is about letting hardworking Americans keep more of their money. The typical American family of four earning the median family income of $73,000 will see a tax cut of $2,059.”
This bill, which is the result of compromise negotiations between the House and Senate, lowers federal income tax rates for all low and middle-income Americans. It also nearly doubles the standard deduction, increases the Child Tax Credit from $1,000 to $2,000 per child, retains deductibility of up to $10,000 in state and local property taxes, and preserves $750,000 in mortgage interest deduction benefits.
Additionally, the Tax Cuts and Jobs Act lowers the corporate tax rate from 35% to 21% – helping put U.S. companies on par with the global averages and their international competitors. America’s current corporate rate is far and away the highest in the industrialized world, as these other nations place – on average – a roughly 22% rate on their corporations.
Most of America’s small businesses will have their rates slashed from the current 40% down to 25%. And each of these entities will be able to fully and immediately deduct investments in equipment and other resources.
“This bill also benefits America’s main street businesses – those small businesses that are the backbone of our economy and job creation. By lowering the small business tax rates, these companies can do what they do best – innovate and grow.”
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